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The Beauty and Logic of the 6E


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The Beauty and Logic of the 6E

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  #101 (permalink)
virginia
 
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Aragorn View Post
Your Settings box is different from mine. Is there another offshoot out there of gomi's work?

try this

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  #102 (permalink)
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The Market has it's own Language. You must continually practice reading and studying that Language.

The Market is telling a Story. The Story is a Mystery. The Story is a Puzzle. It is a Story for you, the Reader, to figure out. It is a different and unique Story and Puzzle every day.

Your first job is to be able to Read and Understand the Market's Language. Only then can the Story make sense.

Do not attempt to Guess either: how the Story ends or what happens next. The Author is very clever. He always adds new twists and turns. He can do whatever he wants. It is HIS story.

The Author, does, however, leave clues. Some clues are important. Some clues are not.

Your second job is to: by using the Market's Language and tone together with the clues that it provides, figure out methodically, what might happen next.

It will take focus and discipline and patience.

Sometimes, even with the best analysis, you will be wrong. But, if you are consistent and methodical in your Reading and in your ability to separate the important clues from the unimportant, you will consistently solve the puzzle.

Have fun and enjoy the incredibly rewarding and challenging undertaking called: Trading!

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  #103 (permalink)
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If anyone is struggling with their trading results or are struggling with being a consistently profitable trader, I highly recommend "One Good Trade: Inside the Highly Competitive World of Proprietary Trading" by Mike Bellafiore.
It is packed with insights, wisdom and steps to take to develop a Successful traders Mentality.

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  #104 (permalink)
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I've posted a lot on other threads over the last few weeks as I've been trying to collect information about how to trade multiple accounts.


and



It's been informative. I've watched a lot of videos over the last few weeks.

For as long as I can remember I have been interested in not just Bid/Ask Volume but more, it's effect on price.

That resonates with me.

I was in a Discord Room and happened to mention my interest in Volume/Price. Someone suggested I look at JigSaw Trading. So I decided to look into it. I watched a webinar that Peter did back in 2015 about keeping it Simple.

Right from the beginning he spoke of trading "Volume's effect on Price" so he had me hooked. As the webinar progressed I wasn't really seeing what I was hoping to see. I liked the education part (though I wasn't keen on trading the platform that he uses). After watching several of his videos I was about to pay up on the $1800 Institutional training course. My finger was literally on the Buy button when I saw the line that an additional $50/mo or $500/yr was required to trade Live.

$50/mo or $500/yr just to use it? That was a deal breaker for me. Not that I didn't have the money but the idea of having to pay more every month/year to get the damn thing to work really soured me. Apparently I needed to spend a little more time reading the fine print and a little less time watching videos. I passed.

I did watch another of his videos about the new release of DayTrader. It had some cool features. I liked the addition of the Trade tracker and the evaluation part. That could be a huge benefit for journal keeping. But still, the extra cost per month was still there so I passed again.

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  #105 (permalink)
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The other OrderFlow Tool that I looked at was BookMap. For someone who likes Bid/Ask Volume and seeing it play out in the Market in a very visual way, BookMap really piqued my interest. With the level of data and detail that BookMap collects, it is a Resource hog. My NinjaTrader kept locking up. I won't go into everything I did to increase RAM and processing speed. It was pretty extensive. In the end, none of it worked, NinjaTrader kept locking up. I reluctantly had to switch computers.
I watched a lot more videos this time about BookMap and bought it.
BookMap, in order for it to be at it's best, requires the purest market data.
The default data feed for NinjaTrader Brokerage is Continuum. Rithmic is the preferred data feed for BookMap. I contacted NinjaTrader Brokerage and requested a switch to Rithmic. Rithmic is more expensive but, if it's a better feed then I thought it was worth it.
In hindsight, I should have waited until the month was over to make the switch. As data feeds are not prorated, I ended up paying for a full month of Continuum and a full month of Rithmic. It's a small cost but it was an unnecessary cost still the same.

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  #106 (permalink)
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OneUp Trader, before even beginning, is reluctant to pay out. Consider their payout structure.
Under OneUp->FAQ->Funded Traders Rules and Guidelines->Profit Info note what it says under

Profit Split
Receive a generous profit split between the trader and the funding partner, ranging between 50% or 80% going to the trader based on your account choice during your evaluation.

Funded traders keep 100% of their first $8,000 of profits for the 80% split option or 100% of their first $5,000 of profits for the 50% split option.

But then, keep reading under

"Withdrawal Threshold"
In order to allow a true chance for success and to limit your risk of draw downs during withdrawals and to secure the longevity of your trading account, traders are required to adhere to the withdrawal thresholds to be eligible for withdrawals.

This sounds like an Auto Insurance Policy. Someone pointed out to me that the Declaration Page is everything that the Insurance Company is going to pay. The rest of the pages in the policy is how they are going to get out of it! While humorous, there is a lot of truth to it.

The "Profit Split" is like the Declaration Page. It contains everything that they are going to cover and pay out according to the terms of the agreement.

The "Withdrawal Threshold" is like the rest of the pages in the Insurance policy. It explains how OneUp is going to get out of what they told you they will pay out in the Profit Split.

OneUp says that you will receive 80% of a "generous profit split". This makes traders think that they get 80% of the profits that they generate. This is not the case. OneUp says that they take $3500 off the board for your considered profits and they retain this as a "threshold." That means that if you make a profit of, let's use their example, $7500 you do not get 80% of $7500. They subtract the threshold of $3500 ($100,000 account) from the $7500 profit that you made. So the difference of $4000 is what you get the 80% applied to. You get $3200.

That is a far cry from the 80% of the $7500 that they lead you to believe that you will make. Even scarier, they do not tell you how often this threshold is assessed and reassessed. Meaning, they keep the $3500 threshold for the first $7500. Do they assess another threshold of $3500 for the second $7500 that you make once again limiting the payout again to $3200 and keeping a cumulative $7000 in threshold? That is a question that needs to be answered for sure. And, if you close your account with them, do you then get the 80% of the Threshold? After all, you made the $3500. Does it just disappear? Something tells me there is a very long and lengthy legal document attached to this that you sign and that is going to legally supersede anything that is written on their web page or in the emails that their support sends you.

I can't help but notice that all money from the exchange goes to them that you made. Then, there is a resonance that you have to beg and grovel, comply and jump through hoops to meet the requirements to get the money that you made from or out of them.

Now, before we go too far off course, let's keep in mind, they are providing you with the opportunity to trade using their capital. And let's keep in mind that this is money that you made, using their capital that you probably would not have made on your own without using their capital. I get it. But I also get, as the header identifies, this is the "Fine Print." What other fine print is lurking? For sure, being forewarned is being forearmed.

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  #107 (permalink)
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  #108 (permalink)
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My Question:
How often is the Withdrawal threshold assessed?
Using the example on the site for a $100,000 account size, there is a $3500 threshold. So if I make a profit of $7500, the $3500 threshold is deducted from that profit leaving a difference of $4000. The 80% is then applied to the $4000 yielding a payout of $3200 (not including wire fees).
Is the threshold applied weekly or monthly or what? Suppose I make another $7500 the next week. Is another threshold subtracted from the second $7500 yielding another $3200 for me while OneUp keeps a now cumulative $7000 ($3500+$3500)?

Their Answer:
Thanks for reaching out. If you make 7500 on that account you can take out $4000 at 100%. The profit split only applies after you've taken out your first $8000 on the 80% split. In order to be able to withdraw the minimum $1000 you need to have this amount over the profit threshold $3500 in the account + $1000 = $4500 - Now you can take out $1000. That's how the threshold works.

My Response:
Huh? Is this Common Core? Am I being punked?

My Question:
So you only assess the threshold once. If/when I want to close my funded account, do I then get the 80% applied to the $3500 threshold? It is, after all, $3500 that I generated.

Their Answer:
If you choose to close the Funded Trading Account or if you lose it from breaking rules you will get a % from the previous profits (threshold) based on account length with seeder which goes up to 80%. 100% is for over threshold when you request. if the account has been traded for a month you will receive 50% and if for 3 months then 80% of all profits before infraction.

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  #109 (permalink)
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For the last several years I have turned my attention to Volume's effect on price. I bought into the theory that Buyers effect upward price movement and Sellers effect downward price movement. I no longer believe that.

I now believe that price movement is determined by the Exchange and nothing else- not even the Institutions.

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  #110 (permalink)
Market Wizard
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Can you explain why you believe this? What made you come to that conclusion?

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